Australia's cash rate target and inflation is higher than some other comparable economies. Australia's cash rate remains higher than those of several comparable economies after the Reserve Bank of Australia (RBA) left it unchanged at 4.35 per cent on Tuesday. Source: SBS NewsMeanwhile, Australia's inflation target is between 2 and 3 per cent, which can also lead to marginally higher inflation. Aside from its inflation target, the RBA's other mandate is to support full employment, meaning as many Australians as possible in work without creating excessive inflation. While Australia has higher inflation and a higher cash rate target than some other countries, it also has a healthy unemployment rate of 4.4 per cent, lower than the UK, Canada and New Zealand.